CHINA EB LTD (00165) participated in the EPF-EBA REIT strategic placement.

CHINA EB LTD (00165) announces that on May 15, 2026, the subscribers (all fully-owned subsidiaries of the Company) have entered into separate strategic investor distribution agreements with the fund manager, whereby each subscriber agrees to subscribe to units of EPF-EBAREIT as strategic investors. The total number of units to be subscribed by the subscribers is approximately 9.332% of the total number of REIT units to be issued, with a maximum total subscription price not exceeding RMB 470 million. The final number of REIT units to be subscribed will depend on the results of the cumulative bidding and the announcements to be made by the fund manager. The Board believes that participating in the strategic distribution will help to comply with the mandatory strategic distribution requirements applicable to public REITs in China and will contribute to the successful establishment of the REIT. This demonstrates the Company's confidence in the long-term value of REITs and helps to enhance market confidence. Additionally, despite the challenges in the real estate market, this enables the Company to orderly divest its private real estate fund investments at a reasonable valuation, thereby facilitating capital recovery and contributing to financial performance. Furthermore, the related assets of the REIT are located in well-established core commercial areas, with stable operational performance and income-generating commercial properties. By participating in the strategic distribution, it is expected that the Company will benefit from regular cash distributions during the holding period, and further value realization through the sale of REIT units after the applicable lock-up period expires, subject to market conditions. The Board further believes that the successful issuance of this commercial public REIT is an important step in establishing a complete investment cycle for the Company's real estate investment sector, providing support for the long-term development of the Company's asset management business.